2nd Circ. Kills Lloyds Investor Suit Over HBOS Acquisition

Law360, New York (September 19, 2013, 2:35 PM EDT) -- Lloyds Banking Group PLC on Thursday again dodged a putative investor class action alleging it had concealed the precarious position of Halifax Bank of Scotland PLC prior to acquiring it in 2008, after the Second Circuit ruled that there is still no proof of fraud by the bank.

A three-judge panel upheld a New York federal court's ruling against the plaintiffs, a group of holders of American depositary shares in the British bank led by Lloyds ADR holder Albert Ross. The holders say that Lloyds had...